Grayscale: Bitcoin Currently Resembles Tech Stocks More, Must Overcome Volatility to Become "Digital Gold"

Odaily News Cryptocurrency asset management firm Grayscale pointed out in its latest report that Bitcoin's recent decline to around $60,000 resembles a correction in high-growth tech stocks more than the safe-haven patterns familiar to gold investors. This indicates that Bitcoin, at its current stage, still behaves more like an emerging technology asset rather than a mature store of value. While Bitcoin possesses characteristics like a fixed supply and a decentralized network, potentially making it a store of value in the long term, its 17-year history pales in comparison to gold's millennia-long monetary role. Grayscale believes that regulatory progress for stablecoins and tokenized assets, innovation in blockchain infrastructure, and the development of platforms like Ethereum, Solana, and Chainlink could drive the next phase of adoption for Bitcoin and crypto assets. Simultaneously, if Bitcoin can address issues like scalability, transaction fees, and quantum resistance, its volatility may decrease, its correlation with the stock market could weaken, and its future performance might more closely resemble that of "digital gold." (CoinDesk)